"I'm absolutely delighted to get the contract situation sorted," Green told the clubs official website. "It's been a long time coming.
"The Club approached me at the end of last season so it's taken a lot of hard work between my representatives and the Football Club to get where we are today and I could not be more pleased.
"Essentially the reason I wanted to stay with City was because we are playing in the Premier League. I have been at the Club for around 11 years and this is the first time in nine years we have been in top flight football and I wanted to stay and be a part of it.
"To sign a new contract just as we've been promoted is no better time for me to do it personally and to get it out of the way before the start of the season is great as well as it means I can get on and concentrate with pre-season training."